05-14-2024 (Strategic Planning Session - Economic Development)STRATEGIC PLANNING SESSION — ECONOMIC DEVELOPMENT
MAY 14, 2024 - 3:45 P.M.
MINUTES
Members present: Mayor Gary Forcier called the session to order. Members
present were Tim Burley, Dave Sebesta and Chad Czmowski. Member absent was
Pat May. Others present were Matt Jaunich, City Administrator and other city
directors and staff.
1) Introduction to the Topic
Matt Jaunich, City Administrator, presented before the group. The items of discussion
today are related to the City's Core Value Focus #4 (Economic Development). This core
value is defined as: "A diverse local economy provides economic stability, expanding job
growth and employment opportunities, an average household income meeting or
exceeding the state average, and an increasing local tax base." Mr. Jaunich illustrated
the market value growth in Hutchinson since 2014 which has seen a 79% growth. The
median household income has seen a 27% growth since 2017. Feedback from the
community survey indicated that 68% rated the overall economic health of the City as
excellent or good; 75% would recommend Hutchinson as a place to work; 64% would
recommend Hutchinson as a place to visit; 74% rated the overall quality of business and
service establishments as good to excellent; 52% rated the vibrancy of the
downtown/commercial areas as good to excellent; 57% rated the City's employment
opportunities as good to excellent; 47% rated the City's shopping opportunities as good
to excellent; 56% rated the variety of businesses and services establishments as good to
excellent; and 63% rated the City's economic development services as good to
excellent.
Resources used for economic development include the 2013 Downtown Plan, the 2023
Growth Planning Study and the 2023 EDA Annual Report.
Mayor Forcier commented on what other cities residents compare Hutchinson to when
they compare the city's services or products.
Council Member Burley commented that some rural communities are going backwards
yet millions of dollars are put into metro cities from state funds for projects.
Mr. Jaunich commented that Hutchinson's location is advantageous for continuous
economic development.
2) State of Economic Development/Current Economic Development Strategies in
Hutchinson
Miles Seppelt, EDA Director, provided an overview of strategies used for economic
development. He shared the mission of the Hutchinson EDA which is to facilitate
redevelopment, job creation and the success of manufacturing in our community. Mr.
Seppelt noted that Hutchinson is known throughout the state for its downtown,
Hutchinson Enterprise Center, TigerPath and the Farmer's Market. Mr. Seppelt reviewed
the seven current economic development strategies that the EDA uses. These include
business retention & expansion, business incubation, business recruitment, downtown
redevelopment, talent development, childcare business development and workforce
housing development. Mr. Seppelt shared the marketing strategy the EDA uses in
promoting Hutchinson for economic development. He also noted the amount of grant
writing the EDA does which is to pull in financial resources to get projects done. Since
2006 over $6 million has been received in grant funds.
Council Member Czmowski commented that perhaps Hutchinson has reached saturation
in manufacturing businesses and other types of businesses should be pursued — maybe
like high tech/high end. Mr. Jaunich suggested perhaps Hutchinson needs to tell its
story to a broader audience (location, amenities, etc.) for business/job recruitment.
Mayor Forcier suggested perhaps honing in on connections individuals might have to
Hutchinson to get them to move back home or closer to home. Council Member Burley
spoke about a veterans program that is being framed to encourage veterans to relocate
to Hutchinson.
3) Current Challenges/Barriers to Economic Development
Mr. Jaunich spoke about current challenges/barriers to economic development. These
include a shortage of commercial development sites, a shortage of skilled
workforce/general workforce, housing and child care.
Council Member Czmowski noted there are shortages of smaller -size commercial sites as
well. Mr. Seppelt noted that there are downtown spaces that are vacant because the
owners are not willing to budge on asking prices. Mr. Jaunich commented that cost of
construction and infrastructure costs are barriers to development. Mr. Seppelt noted
that there are very few vacant commercial/industrial lots available for development.
4) Future Growth Areas in Hutchinson
Future growth areas have been identified as: Hwy 7 East/Hwy 22; Hwy 15 South (south
of Target); Hwy 7/Hwy 15 corridor. Infrastructure availability/cost is the biggest
challenge for the City for the undeveloped areas.
Mayor Forcier commented that he feels if the City invests in infrastructure he feels it
needs to be on the south end of the city because that is where most commercial
developers desire to be as compared to Hwy 7 East.
5) Vision for Economic Development in the Years to Come
Mr. Jaunich noted that key opportunities include extending infrastructure to Hwy 7/22
intersection and Hwy 15 South.
Council Member Czmowski expressed that he feels the priority investment should be
made on Hwy 15 South and the City should consider extending on Hwy 7/Hwy 22 area
only if the City is approached by a developer.
Mr. Jaunich spoke about strategic/creative ways to fund infrastructure projects. Dan
Jochum, Planning/Zoning Director, spoke about spurring infrastructure for housing which
may then take off commercial development. Mr. Jochum also spoke about Hutchinson
connecting to Hwy 212 which is expanding to a four-way highway along the entire
corridor.
6) Questions/Conversations/Developing Ideas and/or Directions
Mayor Forcier commended the EDA Board and the good structural make-up it has.
Discussion was had on marketing the community and having a strategy to do so —
highlighting amenities, employment opportunities, etc. It was expressed that housing is
needed in order for businesses to come.
7) Next Steps/Action Items/Developing a Plan
Workforce is number one issue for business developers, however housing is needed for
workforce to live in. Child care shortage is a huge issue for the workforce, and perhaps
legislators need to be lobbied to alleviate regulations pertaining to new child care laws.
Motion by Burley, second by Czmowski, to adjourn at 5:15 p.m. Motion carried
unanimously.
ATTEST:
Gary T. Forcier
Mayor
Matthew Jaunich
City Administrator